Advisory Board: Abandoned Vehicle Abatement Service Authority
Subject: Reimbursement of Administrative Costs of Services Provided to the Authority by Contra Costa County in FY 2023-24
Presenter: Jason Crapo
Information:
Since its inception, staff support for the Contra Costa County Abandoned Vehicle Abatement Service Authority (Authority) has been provided by Contra Costa County (County), and the Authority has reimbursed the County for the cost of these administrative support services. This report recommends the Authority continue this practice and reimburse the County for services it provided to the Authority in FY 2023-24.
In 1991, the County Sheriff’s Office recommended that the County and the Cities within the County, establish an Abandoned Vehicle Abatement Service Authority, as allowed under legislations newly enacted at the time, AB 4114. Under that law, a vehicle registration surcharge is collected and used to fund such authorities, which administer the abatement of abandoned vehicles on public and private properties within their jurisdictions.
The Sheriff recommended that the County provide administrative support to the Authority, maintaining county-wide records of abatement activities and preparing documentation as required by State law and regulation through the use of appropriate County personnel and equipment. The Board of Supervisors agreed. The Authority has been in continuous operation since 1992 and the County has provided administrative support to the Authority for the past 32 years.
Each quarter, the Contra Costa County Auditor Controller’s Office (CCCACO) receives a disbursement from the Office of the State Controller and deposits the revenue into the Authority’s fund. The County Department of Conservation and Development (DCD) receives reports from each of the participating member agencies and an accountant reviews each report and recovers statistical information. This information is required for a quarterly report which must be submitted to the Office of the State Controller and the CCCACO. The quarterly report is then sent to the CCCACO and their staff enters the data into the County Finance system to generate payments to each Authority member agency. Records of reports, funding received by the State and disbursements from the Authority fund to member agencies are maintained by the CCCACO. The CCCACO conducts audits of the DCD finances, including accounting practices and procedures relating to the financial services provided to the Authority. The DCD Fiscal Officer is responsible for ensuring the accurate and timely preparation of the quarterly reports. The Fiscal Officer ensures that all Authority funds and transactions are accurately recorded, reported and transmitted as required by law. The Fiscal Officer conducts end of the year audits of the Authority funds. In accordance with State law, every other year the DCD Fiscal Officer contracts with a third party auditing firm to conduct an independent audit of the Authority finances. The results of the audit are reported to the Authority, the CCCACO, and the State of California.
The DCD Code Enforcement Division provides the Authority with technical advisors (TAs). County Code Enforcement staff possess a thorough knowledge and understanding of the Government and Vehicle Code sections authorizing and governing operation of the Authority. Legal mandates, changes to law and policy and interpretations of law and policy are frequently reviewed by the TAs and disseminated to the member agencies. The TAs must maintain close contact with representatives in the California Highway Patrol and the State Controller’s Office to remain current on the issues of law, policy and procedure. Member agencies have direct access to TAs for questions regarding policy, procedure, law, reporting and finances. The TA’s are responsible for researching answers to questions and providing timely responses to member agencies.
A DCD Deputy Director is the County’s representative to the Authority and Chair of the Board of Directors and serves as the Administrator for the Authority. The Chair calls for the annual meetings, coordinates the efforts of the County staff providing services to the Authority, and ensures all legal requirements are met and reports are presented to the Board of Directors on matters affecting the Authority. County staff prepare notices and advisories, schedule and prepare agendas for Authority meetings, and maintain records of meetings, agreements, policies and handbooks.
During its last annual meeting on December 6, 2023, the Authority Board of Directors authorized reimbursement to the County in an amount not to exceed $55,000 for administrative costs in support of the Authority in FY2023-24, representing an estimated 5% of the Authority’s anticipated gross revenues for the fiscal year.
Staff has provided a spreadsheet attached to this staff report that identifies the Administrative costs of $45,697.86 for services provided to the Authority by the County for FY2023-24.
Since administrative costs were less than the 5% of revenues previously authorized by the Board of Directors, the balance of the 5% of revenue held in reserve for such costs was distributed to all member agencies on October 2, 2024.